A-70790, JULY 3, 1936, 16 COMP. GEN. 3

A-70790: Jul 3, 1936

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DEPARTMENTS AND ESTABLISHMENTS - SERVICES BETWEEN - TRANSFER OF APPROPRIATIONS THERE IS NO AUTHORITY OF LAW TO ESTABLISH WORKING FUNDS UNDER SECTION 601 OF THE ACT OF JUNE 30. INFORMATION NECESSARY FOR A PROPER CONSIDERATION MUST BE FURNISHED IN EACH INSTANCE WHERE A WORKING FUND IS PROPOSED TO BE ESTABLISHED UNDER SECTION 601 OF THE ACT OF JUNE 30. WITH RESPECT TO THE ITEM IN QUESTION IT WAS HELD IN DECISION OF JUNE 17. APPROVED BY THE PRESIDENT THERE WAS NO AUTHORITY OF LAW TO ESTABLISH WORKING FUNDS UNDER SECTION 601. WAS ENACTED TO RELIEVE ADMINISTRATIVE OFFICES FROM MANY REQUIREMENTS OF THIS OFFICE IN CONNECTION WITH MAKING FUNDS AVAILABLE BY ONE AGENCY OF THE GOVERNMENT TO ANOTHER UNDER SECTION 7 OF THE FORTIFICATIONS ACT OF MAY 21.

A-70790, JULY 3, 1936, 16 COMP. GEN. 3

DEPARTMENTS AND ESTABLISHMENTS - SERVICES BETWEEN - TRANSFER OF APPROPRIATIONS THERE IS NO AUTHORITY OF LAW TO ESTABLISH WORKING FUNDS UNDER SECTION 601 OF THE ACT OF JUNE 30, 1932, 47 STAT. 417, FROM FUNDS APPROPRIATED BY THE EMERGENCY RELIEF APPROPRIATION ACT OF 1935, 49 STAT. 115. THE AVAILABILITY OF AN APPROPRIATION FOR A PARTICULAR PURPOSE BEING A MATTER FOR CONSIDERATION BY THE GENERAL ACCOUNTING OFFICE, INFORMATION NECESSARY FOR A PROPER CONSIDERATION MUST BE FURNISHED IN EACH INSTANCE WHERE A WORKING FUND IS PROPOSED TO BE ESTABLISHED UNDER SECTION 601 OF THE ACT OF JUNE 30, 1932, 47 STAT. 417.

ACTING COMPTROLLER GENERAL ELLIOTT TO THE SECRETARY OF WAR, JULY 3, 1936:

THERE HAS BEEN CONSIDERED YOUR LETTER OF MAY 1, 1936, RELATIVE TO CREDITING TO WORKING FUNDS FUNDS RECEIVED BY THE WAR DEPARTMENT FROM OTHER GOVERNMENT DEPARTMENTS AS ADVANCE PAYMENTS UNDER SECTION 601 OF THE ACT OF JUNE 30, 1932, 47 STAT. 417, PARTICULAR REFERENCE BEING MADE TO AN ITEM OF $8,000 REPRESENTING AN ADVANCE OF EMERGENCY RELIEF FUNDS ALLOCATED TO THE PROCUREMENT DIVISION, TREASURY DEPARTMENT--- THE ADVANCE TO COVER INSPECTION SERVICES TO BE PERFORMED BY THE WAR DEPARTMENT ON TEXTILE CONTRACTS OF THE PROCUREMENT DIVISION.

WITH RESPECT TO THE ITEM IN QUESTION IT WAS HELD IN DECISION OF JUNE 17, 1936, A-74972, THAT IN VIEW OF THE PROVISIONS OF SECTION 11 OF THE EMERGENCY RELIEF APPROPRIATION ACT OF 1935, APPROVED APRIL 8, 1935, 49 STAT. 115, AND PARAGRAPH 20 OF REGULATIONS NO. 1 PROMULGATED BY THE SECRETARY OF THE TREASURY JUNE 18, 1935, AND APPROVED BY THE PRESIDENT THERE WAS NO AUTHORITY OF LAW TO ESTABLISH WORKING FUNDS UNDER SECTION 601, SUPRA, WITH EMERGENCY RELIEF FUNDS.

AS TO THE STATEMENTS IN YOUR LETTER THAT SECTION 601 OF THE ACT OF JUNE 30, 1932, WAS ENACTED TO RELIEVE ADMINISTRATIVE OFFICES FROM MANY REQUIREMENTS OF THIS OFFICE IN CONNECTION WITH MAKING FUNDS AVAILABLE BY ONE AGENCY OF THE GOVERNMENT TO ANOTHER UNDER SECTION 7 OF THE FORTIFICATIONS ACT OF MAY 21, 1920, IT MAY BE STATED THAT THERE IS NOTHING IN SUCH SECTION TO INDICATE ANY INTENT TO ABROGATE OR OTHERWISE NULLIFY OTHER PROVISIONS OF LAW GOVERNING THE USE OF APPROPRIATED FUNDS.

GENERALLY, APPROPRIATIONS ARE MADE BY THE CONGRESS IN SPECIFIC TERMS FOR SPECIFIC PURPOSES AND AS PROVIDED IN SECTION 3678, REVISED STATUTES, SUMS APPROPRIATED FOR THE VARIOUS BRANCHES OF EXPENDITURE IN THE PUBLIC SERVICE SHALL BE APPLIED SOLELY TO THE OBJECTS FOR WHICH THEY ARE RESPECTIVELY MADE. THERE IS NOTHING IN SECTION 601, SUPRA, WHICH WOULD ABROGATE THE PROVISIONS OF SECTION 3678, REVISED STATUTES, OR AUTHORIZE THE MERGING OF FUNDS UNDER SEVERAL APPROPRIATIONS INTO ONE WORKING FUND SO AS TO MAKE IT PRACTICALLY IMPOSSIBLE FOR A PROPER AUDIT TO BE MADE OF EXPENDITURES OF THE FUNDS SO INTERMINGLED UNDER A WORKING FUND. IN ADDITION IT SHOULD BE NOTED IN SECTION 601 THAT THE TRANSFER OF FUNDS FROM ONE DEPARTMENT OF THE GOVERNMENT TO ANOTHER EITHER AS AN ADVANCE PAYMENT OR AS A REIMBURSEMENT IS AUTHORIZED ONLY IF FUNDS ARE AVAILABLE FOR THE PURPOSE FOR WHICH THEY ARE PROPOSED TO BE USED, AND IF IT IS DETERMINED TO BE IN THE INTERESTS OF THE GOVERNMENT TO OBTAIN THE SERVICES, SUPPLIES, OR MATERIALS FROM A GOVERNMENT AGENCY RATHER THAN FROM OUTSIDE SOURCES. THESE PROVISIONS ARE CONDITIONS PRECEDENT TO THE FUNDS BEING ADVANCED UNDER SECTION 601 AND CONDITIONS WHICH SHOULD BE SHOWN TO HAVE BEEN COMPLIED WITH BEFORE THE WORKING FUND CAN BE ESTABLISHED, AND THIS NOTWITHSTANDING THE SECTION PROVIDES THAT THE TRANSFERS SHALL NOT BE SUBJECT TO AUDIT OR CERTIFICATION IN ADVANCE OF PAYMENT.

THE DETERMINATION OF THE AVAILABILITY OF AN APPROPRIATION FOR A PARTICULAR PURPOSE IS A MATTER FOR THE CONSIDERATION OF THIS OFFICE AND WHILE IN AN ENDEAVOR TO CARRY OUT ITS DUTY IT IS NOT THE DESIRE OF THIS OFFICE UNNECESSARILY TO BURDEN OR MAKE IT DIFFICULT FOR ADMINISTRATIVE OFFICERS HAVING NEED FOR THE ESTABLISHMENT OF WORKING FUNDS UNDER SECTION 601, THIS OFFICE MUST INSIST THAT THE INFORMATION NECESSARY FOR A PROPER CONSIDERATION OF THE MATTER MUST BE FURNISHED IN EACH INSTANCE WHERE A WORKING FUND UNDER SECTION 601, SUPRA, IS PROPOSED TO BE ESTABLISHED.